Is Forex a good investment?

[dehnavi]

As per my experience it depens upon how you invest your money, and what you invest in, are personal choices based on a number of factors: your risk tolerance, time horizon, investment skills, interests, and goals.

By end of this answer i have also shared my experience with forex trading.

Transaction costs in the forex market are usually built into spreads, or the difference between the bid and ask price of a currency. Most brokers are compensated through this spread and many do not charge commissions.

No matter if you invest in forex or stocks, there will be risk involved. One of the biggest risks in the forex market is the use of leverage. While leverage can bring in significant returns, fluctuating market conditions can result in losses far more than your original investment.

Because forex trading involves the currencies of other countries, you also face the risk of changing interest and exchange rates, as well as economic and political shifts in other nations. You could wake up one morning to find a foreign currency has dropped in value significantly overnight because of an unforeseen political issue, so it’s important to know your potential upside and downside. Having an understanding of the economies of the countries whose currencies you’re trading may be beneficial to lessen these risks.

Stocks are often the go-to investment. But when you explore new markets and investment vehicles, like foreign currencies, you may find new investing opportunities you never knew existed. While trading in the forex market takes time and skill — and the understanding that it involves significant risk of loss and might not be suitable for everyone — it also opens up new avenues to expand your investment portfolio and meet your financial goals.

Once you feel confident and comfortable trading currencies, you can explore the many benefits of trading in the forex market. Not only is it the largest financial market in the world, it’s also the most liquid. Its high liquidity is because buyers and sellers are constantly trading, making it easier to make trades and turn assets into cash with generally low transaction costs.

All those who are asking me I want to tell them earlier i have traded over forex booked loss good amount as always. Then it’s been 2 years & i don’t do trading for forex.

 

[paymanz]

its not investment you just need to trade and invest profits somewhere else....

 

[aveldtr]

Forex is speculative by nature. It's what provides liquidity to hedge quotations to import/export companies around the world, so it's not suited for a very long-term position.
Consider taking advantage of currency pairs fluctuations on a short term with a fraction of your capital, use another fraction of your capital on stocks for medium term, and let it grow steadily and with lower risks on more conservative long term positions, like bonds and funds.

cheers

 

[mattnice]

Forex is speculative by nature. It's what provides liquidity to hedge quotations to import/export companies around the world, so it's not suited for a very long-term position.
Consider taking advantage of currency pairs fluctuations on a short term with a fraction of your capital, use another fraction of your capital on stocks for medium term, and let it grow steadily and with lower risks on more conservative long term positions, like bonds and funds.

cheers

forex is the only thing todo, why wokr a 9-5 when you can be tradign on a n islande

 

[taolaoxitbop]

What I see is that the broker always charge a few dollar for one trade, accumulation of 100 trades are a big amount of money. Forex is low volatality compare to stock (Am I right?), even thought the volume is much bigger, but I reckon the favor to Stock and commodity.